UDC Extends Development Agreement with JDI
June 19, 2017
Universal Display announced that it has extended and updated its OLED evaluation agreement with Japan Display, which includes both materials for evaluation and technology. UDC’s development agreement, typically have a cost per gram for all material plus a royalty for any products sold, plus a engineering charge for any assistance provided. UDC uses this format for its pre-commercial customers, and then convert to either a fixed format license fee (Samsung Display) or a royalty based system (LG Display) as mass production begins. Given that Japan Display will be among those vying for Apple’s OLED iPhone business, the necessity for JDI to extend its OLED material evaluation agreement with UDC is apparent, and we would expect others such as BOE, which signed a development agreement in 2014 and Tianma Micro did last August.